Net investment hedge accounting: Difference between revisions

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''Financial reporting''.
''Financial reporting''.


Net investment hedge accounting, which applies to hedges of foreign currency risk on net investments in foreign operations.
Net investment hedge accounting applies to hedges of foreign currency risk on net investments in foreign operations.
 


It is accounted for in a similar way to cash flow hedge accounting.
It is accounted for in a similar way to cash flow hedge accounting.
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* [[Cash flow hedge accounting]]
* [[Cash flow hedge accounting]]
* [[Fair value hedge accounting]]
* [[Fair value hedge accounting]]
* [[Financial reporting]]
* [[Foreign exchange risk]]
* [[Foreign exchange risk]]
* [[Hedge accounting]]
* [[Hedge accounting]]
* [[Hedging]]
* [[Hedging]]
* [[IAS 39]]
* [[IFRS 9]]
* [[IFRS 9]]
* [[IFRS 9 hedge accounting reforms: a closer reflection of risk management?]]
* [[IFRS 9 hedge accounting reforms: a closer reflection of risk management?]]
* [[Investment]]
* [[Other comprehensive income]]  (OCI)
* [[Statement of profit or loss]]
* [[Statement of profit or loss]]
* [[Statement of profit or loss and other comprehensive income]]
* [[Statement of profit or loss and other comprehensive income]]
[[Category:Accounting,_tax_and_regulation]]

Latest revision as of 15:17, 9 July 2022

Financial reporting.

Net investment hedge accounting applies to hedges of foreign currency risk on net investments in foreign operations.


It is accounted for in a similar way to cash flow hedge accounting.

It is achieved by deferring in other comprehensive income (OCI), changes in value of the hedging instrument, with amounts later removed or reclassified and ultimately recognised in profit or loss at the same time as the hedged net investment.


See also